USDCHF upside capped by 89 day EMA, dip till 0.9990 likely

Major support - 0.9900

USDCHF has shown a minor jump of more than 50 pips from yesterday’s high of 0.99158. It hits high of 0.99663 for the day and shown a minor decline.It has lost more than 200 pips from top formed around 1.01245 on account of broad based US dollar selling and Brexit uncertainty. Global markets shown a major sell-off on Monday on declining US yield and yield curve inversion which has increased demand for safe haven like gold, yen etc. It is currently trading around 0.99446.

On the higher side, 0.9968 (89- day EMA) is acting as near by resistance and any break above will take the pair till 0.9995 (50- day MA)/1.0030/1.0060.

The near term support is around 0.9900 and any break below targets 0.9860/0.9785.

It is good to sell on rallies around 0.9955-60 with SL around 1.000 for TP of 0.98000.